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Question 2 State accounting treatment for the following intra group transactions. Provide explanation on every accounting treatment below. i. Bill payables of subsidiary RM30,000
Question 2 State accounting treatment for the following intra group transactions. Provide explanation on every accounting treatment below. i. Bill payables of subsidiary RM30,000 were drawn in favour of holding company. ii. Trade Receivables of RM50,000 of the parent are receivables from the subsidiary. They include RM2,000 for inventory sent by the parent on 30 December 2019. iii. The parent lent RM500,000 to the subsidiary. The subsidiary remitted RM10,000 to the parent at the end of the year but latter only received the money at the beginning of the following year. iv. The bills payables of the subsidiary of RM40,000 are due to the parent.
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